Dual-Use Export Controls Regulation: One to Watch for the Electronics Industry

The European Union is currently working to update its legislation on export controls for dual-use items, meaning items that can be used for both civilian and military applications and/or can contribute to the proliferation of Weapons of Mass Destruction (WMD). Most importantly, the proposal for an updated Regulation introduces the following changes:

• Expansion of list of dual-use items to include cyber-surveillance technologies and those that can be used for human rights violations.

• Added obligation for exporters, when conducting their due diligence, to notify Member State authorities, if they suspect exported items not listed in the Regulation are used to violate human rights.

• The European Commission is empowered to amend the list of dual-use items covered by the Regulation, so continuous monitoring of this process will be needed to ensure regulatory compliance.

The new Regulation does not include any specific mentions of printed circuit boards, but is nevertheless a piece of legislation that IPC members must be aware of, as it could create possible regulatory compliance issues. With that in mind, IPC has drafted a briefing note detailing the new provisions introduced by the Regulation, as well as the state of play and next steps in the legislative process. The updated proposal is currently being discussed by representatives of the European Commission, Council and Parliament in informal “trilogues”. It is possible that the updated Regulation will have gone through the legislative process in the course of 2019.

IPC members are invited to share their feedback on this document and any other thoughts and concerns they might have on export controls for dual-use items with Chris Mitchell, IPC’s vice president of global government relations, at ChrisMitchell@ipc.org.